CAIRO — Egypt’s external economic position showed signs of resilience during the first nine months of the 2025/26 fiscal year as the country’s overall balance-of-payments deficit narrowed to $1.8 billion.

The latest figures show that stronger capital and financial inflows helped offset pressure from a widening merchandise trade deficit. Net inflows through the capital and financial account reached $9.9 billion during the reporting period.

Economic analysts say the improvement highlights the growing importance of foreign direct investment, remittances, and services revenue to Egypt’s external stability. The stronger inflows helped cushion the impact of higher import costs and a larger trade gap.

The Central Bank of Egypt reported that the merchandise trade deficit widened to $47.8 billion, while the broader external position benefited from increased capital inflows and stronger receipts from key service sectors.

The latest data comes as Egypt continues efforts to attract investment, strengthen foreign-currency inflows, expand exports, and improve economic resilience amid regional and global pressures.

Egypt’s latest balance-of-payments figures underline both the challenges facing the economy and the growing role of investment, remittances, and services in supporting external stability.